Wages in a work stoppage

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With renewed COVID-19 outbreaks, many foreign workers in China find themselves facing work stoppages similar to those many faced in early 2020. During these work stoppages a common question is what should happen to wages. Since most foreign workers here are paid by the month, and get their wages for a whole calendar month on the 10th or 15th of the next month, the most common answer is that for the month during which work stops, the workers still get paid based on the pay standards in their labor contracts. But, if the work stoppage goes into a second pay period, which is usually a calendar month for most people, then wages can drop. If still putting in the same hours as in the contract, pay should remain the same. But if not doing any or only very little work, the employer can legally pay “living expenses” which is a standard set locally with is usually about 70% to 80% of the minimum wage. In Beijing the living expense standard is only RMB 1540 per month. For more on this topic see here.

Interim Provisions on Wage Payments

Article 12

Where an employer stops his or her work or production due to factors other than the employees within a period of wage payment, the employer shall pay wages to the workers according to the standards prescribed in the labor contracts. Where an employer stops its work or production for a duration exceeding a period of wage payment, it shall pay the workers remuneration not less than the local standard for minimum wages given the employees have provided normal labor; or otherwise the cases shall be dealt with according to relevant State provisions.

工资支付暂行规定 

第十二条

非因劳动者原因造成单位停工、停产在一个工资支付周期内的，用人单位应按劳动合同规定的标准支付劳动者工资。超过一个工资支付周期的，若劳动者提供了正常劳动，则支付给劳动者的劳动报酬不得低于当地的最低工资标准；若劳动者没有提供正常劳动，应按国家有关规定办理。

Interim Provisions on Wage Payments

http://marketwatch.hroot.com/company/Detail-26965-policy.cis

关于印发《工资支付暂行规定》的通知 劳部发〔1994〕489号

http://www.mohrss.gov.cn/SYrlzyhshbzb/zcfg/flfg/gz/201705/t20170522_271150.html?from=groupmessage

Translation & Editing by Reliant

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